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UK Tax Data Card
 
UP TO DATE TAX DATA - FROM MARCH 2008'S BUDGET
2008/2009
» Income Tax Rates »Inheritance Tax
» Income Tax Allowances, Reliefs and Credits »Corporation Tax
» Charitable Giving »Capital Allowances
» National Insurance »Value Added Tax
» Car Benefits »Stamp Duty & Stamp Duty Land Tax
» Pensions
» Self Assessment: Key Dates 2008/09
» Capital Gains Tax » Disclaimer
 
Income Tax Rates

 

2008/09 (£)

2007/08 (£)

Starting rate 10% on first*

2,320

2,230

Basic rate (20% for savings income) 22% on next*

36,000

32,370

Higher rate 40% on income over

36,000

34,600

*from 2008/09 only applicable on savings income where it is below £2,320.00.

Dividends

 

2008/09 (£)

2007/08 (£)

Basic rate taxpayers

10%

10%

Higher rate taxpayers

32.5%

32.5%

Pre-owned assets tax (£5,000 taxable threshold)

 

2008/09 (£)

2007/08 (£)

Pre-owned assets tax (£5,000 taxable threshold)

As income

As income

Discretionary and Relevant Property Trusts*

 

2008/09 (£)

2007/08 (£)

Basic rate band

1,000

1,000

Dividends (rate applicable to trusts - RAT)

32.5%

32.5%

Other income (rate applicable to trusts - RAT)

40%

40%

*from 6/4/2008 A&M trusts can only be created by a parent's will, all other trusts will fall under the RPT regime.

Interest In Possession Trusts

 

2008/09 (£)

2007/08 (£)

Dividends

10%

10%

Savings

20%

20%

Other income

20%

22%

Income Tax Allowances, Reliefs and Credits

Given at marginal rate of income tax

 

2008/09
(£)

2007/08
(£)

Personal allowance (minimum)

5,435

5,225

Personal allowance (age 65-74)

9,030

7,550

Personal allowance (age 75+)

9,180

7,690

 

 

2008/09
(£)

2007/08
(£)

Blind Person's Allowance

1,800

1,730

     
 

 

2008/09
(£)

2007/08
(£)

Rent-a-room tax free home income*
*restricted to £2,150 if letting jointly

4,250

4,250

Relief restricted to 10%

 

2008/09
(£)

2007/08
(£)

Married couples/Civil partnerships allowance (age under 75 and born before 6th April 1935)

6,535

6,285

Married couples/Civil partnerships allowance (age 75+)

6,625

6,365

Married couples/Civil partnerships allowance (minimum)

2,540

2,440

 

 

 

Age related reliefs abated by £1 for every £2 of income over

21,800

20,900

Child Tax Credit (CTC)

 

2008/09
(£)

2007/08
(£)

Family element

545

545

Family element baby addition

545

545

Child element

2,085

1,845

Disabled child element

2,540

2,440

Severely disabled child element
1,020
980

Working Tax Credit (WTC)

 

2008/09
(£)

2007/08
(£)

Basic element

1,800

1,730

Couples & lone parent element

1,770

1,700

30 hour element

735

705

Disabled worker element

2,405

2,310

Severe disability element
1,020
980
50+ return to work payment (16-29 hours)
1,235
1,185
50+ return to work payment (30+ hours)
1,840
1,770

Childcare Element of WTC

 

2008/09
(£)

2007/08
(£)

Maximum eligible cost for one child
£175 per week
£175 per week
Maximum eligible cost for two or more children
£300 per week
£300 per week
Percentage of eligible costs covered
80%
80%

Withdrawal Rates for CTC & WTC

 

2008/09
(£)

2007/08
(£)

First income threshold

6,420

5,220

First income threshold for CTC only

15,575

14,495

First withdrawal rate

39%

37%

Second income threshold

50,000

50,000

Second withdrawal rate

6.67%

6.67%

Income increase disregarded

25,000

25,000

Limits for other relief's

 

2008/09
(£)

2007/08
(£)

Enterprise Investment Scheme (EIS) at 20%

 

 

Maximum Investment

500,000

400,000

EIS capital gains re-investment

Unlimited

Unlimited

     

Venture Capital Trusts (VCT) @ 30%

 

 

Maximum Investment

200,000

200,000

 

Charitable Giving

 

2008/09

2007/08

Give as you earn - gross maximum

No maximum

No maximum

Gift Aid - net minimum (no maximum)

No minimum

No minimum

Convenanted donations (minimum 3 year convenant)

No limit

No limit

Note that if you have not paid sufficient tax to cover the credit claimed by the charitable body, you will be liable to make good the shortfall of that claim by paying additional tax.

National Insurance

Class 1

Employees

Employers

Weekly earnings

 

 

On first £105.00 (£100.00)

NIL

NIL

£105.01 to £770.00 (£100.01 to £670.00)

11%

12.80%

£770.00+ (£670.00+)

1%

12.80%

     
     

Class 1A

12.8% NIC on benefits in kind payable on 19th July after the end of the tax year.

Class 1B

12.8% payable on PAYE Settlement Agreement benefits, tax due 19th October after the end of the tax year.

Class 2

Self emplyed flat rate of £2.30 (£2.20) per week.

Class 3

Voluntary contributions at a rate of £8.10 (£7.80) per week.

     

Class 4 - Self-employed earning rate

2008/09

2007/08

Profits between £5,435 (£5,225) and £40,040 (£34,840) per annum

8%

8%

Profits in excess of £40,040 (£34,840) per annum

1%

1%

Car Benefits

Taxable amount based on car's list price when new up to £80,000. Charge varies according to CO2 emissions in grams per kilometre.

Co2 emissions in grams per kilometre

Petrol or Pre-2006 Euro IV diesel engine

Other diesel engines Hybrid petrol/electric engine E85, LPG pr dual LPG & petrol

 

%

%

%

%

120 or less

10

13

10

10

121-139

15

18

12

13

140-144

16

19

13

14

145-149

17

20

14

15

150-154

18

21

15

16

155-159

19

22

16

17

160-164

20

23

17

18

165-169

21

24

18

19

170-174

22

25

19

20

175-179

23

26

20

21

180-184

24

27

21

22

185-189

25

28

22

23

190-194

26

29

23

24

195-199

27

30

24

25

200-204

28

31

25

26

205-209

29

32

26

27

210-214

30

33

27

28

215-219

31

34

28

29

220-224

32

35

29

30

225-229

33

35

30

31

230-234

34

35

31

32

235 and over

35

35

32

33

1. The exact CO2 figure is rounded down to the lower 5g/km for cars with emission of 125g/km or more.
2. Euro IV diesel cars registered before 1/1/06 are treated as petrol cars. Euro IV diesel cars registered from 2006 are treated as other diesels

Vans

2008/09

2007/08

All vans regardless of age

£3,000

£3,000

Fuel scale charge

£500

£500

From 2007/08 all vans regardless of age will be taxed through your tax code at a value of £3,000.

Car Fuel

2008/09
2007/08

Charged on a flat figure of

£16,900

£14,400

% charge as per the Co2 emissions above

Minimum charge

£1,690

£2,160

Maximum charge

£5,915

£5,040

     

Revenue approved mileage rates

First 10,000 miles

Excess over 10,000 miles

Cars and vans

40p

25p

Motor cycles

24p

24p

Bicycles

20p

20p

There is also an optional 5p allowance for each passenger carried who is an employee travelling on business.

Pensions

 
2008/09 (£)
2007/08 (£)
Lifetime allowance
1,650,000
1,600,000
Lifetime allowance charge
55% if cash
55% if cash
 
25% if income
25% if income
Annual allowance
235,000
225,000
Annual allowance charge
40%
40%
Maximum relievable personal contribution
100% of UK earnings
100% of UK earnings
 
£3,600 if greater
£3,600 if greater
Maximum tax free cash
25% of pension benefit value
25% of pension benefit value
     
Individual Savings Accounts (ISAs)
2008/09 (£)
2007/08 (£)
 
Mini-ISA
Maxi-ISA
Cash
£3,600
£3,000
£3,000
Stocks & Shares
balance to £7,200
£4,000
balance to £7,200

Capital Gains Tax

 

2008/09 (£)

2007/08 (£)

Rates of tax

 

 

Individuals - flat rate from 06/04/08

18%

10%/20%/40%

Companies - added to income

21%/28%

20%/30%

Discretionary and Accumulation & Maintenance Trusts

18%

40%

Interest In Possession Trusts

18%

40%

Exemptions

 

 

Individuals and most estates

9,600

9,200

Most trusts

4,800

4,600

Chattels (5/3 taxable on excess above)

6,000

6,000

Individual's indexation allowance (ceases 6th April 2008) - maximum rate 104.7%

Companies' indexation allowance continues to be calculated to the month of disposal.

Taper relief (ceases 6th April 2008)

Percentage of gain that is chargeable based on number of years and asset is owned after 5th April 1998.

Non-Business Assets
Complete years held/owned:

0

100.0%

1

100.0%

2

100.0%

3

95.0%

4

90.0%

5

85.0%

6

80.0%

7

75.0%

8

70.0%

9

65.0%

10+

60.0%

Business Assets

Complete years held/owned:

0

100.0%

1

75.0%
2+
25.0%
Pre 17th March 1998 assets sold in 2007/08
60.0%

Inheritance Tax

 

2008/09 (£)

2007/08 (£)

Nil Rate Band (NRB) or Taxable Threshold

312,000

300,000

 

 

 

Rates of Inheritance Tax

 

 

NRB

0%

0%

Chargeable lifetime gifts where in excess of the NRB

20%

20%

On death where in excess of the NRB

40%

40%

 

 

 

Exemptions

 

 

Total annual gifts (for each donor)*

3,000

3,000

Small gifts (for each donee)

250

250

Gifts made from surplus income

Unlimited

Unlimited

 

 

 

In consideration of marriage

 

 

Gift by a parent

5,000

5,000

Gift by a grandparent

2,500

2,500

Gift by any other person

1,000

1,000

Gifts made to individuals and certain types of trust are potentially exempt, provided the donor survives for seven years. If they die within that period taper relief (below) is available if the gift is taxable.

Complete years

% charged to IHT

0

100%

1

100%

2

100%

3

80%

4

60%

5

40%

6

20%

7

0%

Corporation Tax

 
2008/09
2007/08

Profits exceeding £1,500,000 (standard rate)

28%
30%

Profits under £300,000 (small companies rate)

21%
20%

 

Marginal relief fraction

1/40
11/40

Effective marginal rate on profits between £300,000 and £1,500,000

32.50%
32.75%

Note that for close investment holding companies the 30% rate will apply regardless of profit levels.

Capital Allowances